NOTES  ON  A  RAILWAY 

Through  central  America 


PRESENTED 


BY 


THE  DELEGATION  OF  COSTA  RICA 


TO  THE 


CENTRAL  AMERICAN  PEACE  CONFERENCE 


Washington,  D.  C. 
November 
1907 


NOTES  ON  A  RAILWAY 


THROUGH  CENTRAL  AMERICA 


PRESENTED 


THE  DELEGATION  OF  COSTA  RICA 

TO  THE 

CENTRAL  AMERICAN  PEACE  CONFERENCE 


Washington,  D.  C. 
November 


°Awl 


3 


Gentlemen 

We  do  not  think  it  necessary  to  state  that  no  matter 
what  resolutions  the  Conference  may  adopt  in  regard  to 
the  principal  subjects  embraced  within  the  scope  of  the 
most  important  mission  which  our  several  governments 
have  intrusted  to  us,  one  of  the  main  points  to  be  taken 
into  consideration  is  that  of  recommending  the  improve¬ 
ment  of  both  the  land  and  sea  communications  among 
the  Central  American  Republics  themselves  and  between 
these  and  their  neighboring  countries  and  any  other 
States  whose  relations  may  foster  the  development  of 
commerce  and  other  advantages  to  be  derived  from  the 
general  progress  of  our  respective  countries. 

The  importance  of  these  means  of  communication,  of 
a  railway  which  will  unite  all  our  countries  and  may  con¬ 
tribute  through  its  powerful  agency  to  efface  boundary 
lines  and  bring  our  peoples  closer  and  closer  together,  is 
not  only  a  want  which  we  all  feel,  but  is  a  work  that  can 
be  realized  without  an  effort  beyond  the  means  which  we 
are  fortunate  to  have  within  our  reach. 

The  Minister  of  Costa  Rica  in  Washington  has  always 
been  of  this  opinion,  and  an  earnest  supporter  of  the 
Pan-American  Railway  project.  Upon  his  return  from 
Mexico,  after  the  Second  International  Conference,  for 
so  many  reasons  worthy  of  our  recollection,  he  published 
a  few  remarks  and  data,  particularly  referring  to  the  share 
of  our  countries  in  that  great  enterprise,  and  it  was  with 
gratification  that  we  saw  that  his  modest  contribution 
was  received  with  marked  favor  by  the  American  Press. 

Not  very  long  ago,  while  in  search  of  new  data,  of  a 
new  light  which  might  contribute  to  the  realization  of 
the  International  Railway  project  between  Mexico  and 
Panama,  where  the  opening  of  the  Isthmian  Canal  by 


4 


the  Government  of  Washington  promises  to  be  an  event 
of  the  near  future  for  the  greatest  benefit  of  the  whole 
world,  the  Minister  had  the  good  fortune  to  receive  from 
Mr.  Theodore  Paschke,  Member  of  the  American  Society 
of  Civil  Engineers,  New  York,  the  accompanying  docu¬ 
ment,  which  is  far  above  and  beyond  anything  we  could 
ever  have  written  on  such  an  important  matter. 

The  distinguished  engineer,  Mr.  Paschke,  has  lived  for 
many  years  in  Central  America.  While  in  Guatemala 
he  directed  part  of  the  work  on  her  railroads  and  now 
holds  a  position  of  great  responsibility  with  the  New 
York  Subway,  which  shows  that  he  is  a  most  competent 
man,  whose  opinions  deserve  the  greatest  consideration 
and  prestige. 

We  must  not  omit  to  state  that  Mr.  Paschke  has  dedi¬ 
cated  the  work  to  which  we  refer  to  the  memory  of  Don 
Guillermo  Nanne,  a  German  by  birth  and  a  Costa  Rican 
at  heart  not  only  because  of  his  love  for  that  country, 
but  because  his  distinguished  family  was  born  there. 
Mr.  Nanne  is  one  of  those  persons  whose  pleasant  person¬ 
ality  is  forever  connected  with  the  memory  of  the  con¬ 
struction  of  the  first  railways  in  Costa  Rica  and  Guatemala. 

Mr.  Paschke ’s  work  is  particularly  instructive  and  will 
no  doubt  be  an  excellent  contribution  to  the  study  of 
whatever  recommendations  the  Conference  may  decide 
to  make  to  our  respective  governments,  and  with  this 
end  in  view,  we  have  the  honor  to  respectfully  submit 
this  work  to  our  distinguished  colleagues  in  the  hope  that 
the  data  therein  contained  might  be  of  service. 

LUIS  ANDERSON, 

J.  B.  CAEVO. 

Washington,  D.  C., 

November  20,  1907. 


5 


THE  INTERCONTINENTAL  RAILWAY. 


By  J.  B.  Calvo. 


When  we  consider  the  great  influence  which  the  means 
of  communication  exercise,  not  only  in  the  development 
of  the  natural  resources  and  other  fountains  of  national 
production,  but  also  in  the  moral  and  intellectual  advance¬ 
ment  which  the  widening  of  the  sphere  of  action  affords 
to  man,  the  great  benefits  that  would  result  to  the  Ameri¬ 
can  Republics  from  the  construction  of  a  continental 
railroad  become  evident. 

The  enterprise  is  certainly  a  colossal  one,  though  it 
does  not  in  reality  present  any  insurmountable  obstacles, 
and  in  order  to  become  an  accomplished  fact  it  only 
requires  that  the  project  should  be  taken  up  with  a 
resolute  purpose  and  properly  started. 

It  is  evident  that  the  development  of  local  traffic  alone 
would  pay,  in  the  immediate  future,  the  cost  of  the  road, 
and  that  the  increase  of  the  commercial  relations  between 
the  neighboring  countries  would  be  very  rapid,  promoting 
in  this  manner  the  general,  political,  and  social  welfare 
of  all  the  nations  of  this  continent,  as  well  as  securing 
a  closer  union  among  them,  all  of  which  would  tend  to 
daily  increase  the  value  of  capital  and  the  profits  thereof. 

The  progress  which  Mexico  has  made  in  the  last  few 
years  has  naturally  attracted  the  attention  of  the  whole 
world,  and  the  great  impulse  given  to  all  her  industries 
demands,  for  that  prosperous  Republic,  easy  means  of 
communication  with  the  contiguous  States,  where  excel¬ 
lent  markets  are  to  be  found  for  many  of  her  varied  prod¬ 
ucts,  which  competition  on  the  North  carries  to  said 


6 


States  in  the  South,  as  is  the  case  at  present,  particularly 
with  regard  to  cotton  fabrics  and  all  kinds  of  leather 
goods. 

It  is  a  fact  that  the  Central  American  States  are  con¬ 
stantly  progressing;  and  while  the  moral  advancement 
is  also  evidenced  by  the  peaceful  condition  which  they 
at  present  enjoy,  the  development  of  their  manifold  and 
rich  sources  of  production  increases  daily,  thus  encourag¬ 
ing  new  enterprises,  the  improvement  of  the  existing 
means  of  communication,  and  the  construction  of  other 
new  and  important  ones. 

In  the  far  south,  the  Argentine  Republic  rises  up  as  an 
agricultural  rival  of  the  United  States  of  America,  while 
Chile  initiates  a  competition  on  the  Pacific  with  the  steam¬ 
ship  companies  of  the  great  American  nation. 

These  practical  examples  of  the  advancement  of  the 
Latin-American  countries  indicate  the  activity  and  prog¬ 
ress  which  they  have  already  reached,  and  show  clearly 
the  great  importance  of  the  field  which  they  afford  to 
business  and  enterprise. 

Brazil,  with  her  extensive  territory;  Uruguay,  with  her 
favored  geographical  position;  Peru,  Bolivia,  Ecuador, 
Venezuela,  and  Colombia,  by  the  exuberant  richness  of 
their  soil,  all  enjoy,  in  an  equal  degree,  the  benefits  of 
progress  and  civilization. 

Therefore  the  construction  of  a  railway  through  all 
these  countries  will  find  abundant  elements  of  support 
already  existing  and  many  others  which  it  will  of  itself 
create,  either  owing  to  the  influence  of  the  facilities  for 
local  traffic  or  as  a  consequence  of  rapid  communication 
between  the  different  States. 

At  the  First  International  Conference  held  in  Wash¬ 
ington  in  1889-90  resolutions  were  passed  for  the  purpose 
of  carrying  out  this  great  enterprise,  and  as  a  practical 
result  of  the  preliminary  steps  then  taken  the  proper 
studies  of  the  matter  were  made  by  several  corps  of 
engineers,  who  presented  an  exhaustive  report,  which  is 


7 


printed  with  maps  and  illustrations  in  seven  large  volumes. 

From  these  studies  it  appears  that  the  length  of  a  rail¬ 
road  from  New  York  to  Buenos  Ayres  would  be  10,471 
miles,  and  that  half  of  this  enormous  distance  is  already 
covered  by  existing  railroad  lines. 

Referring  especially  to  the  first  part  of  this  great  con¬ 
tinental  enterprise,  it  would  be  an  easy  task  to  show  that 
it  only  requires  a  slight  impulse  for  its  realization  in  all 
that  portion  of  the  hemisphere  lying  north  of  Panama. 
In  fact,  the  distance  of  2,187  miles  from  New  York  to 
Laredo  on  the  Mexican  frontier,  that  of  839  miles  from 
Laredo  to  the  City  of  Mexico,  and  that  of  343  miles  from 
the  latter  city  to  Oaxaca  is  covered  by  railroad  lines  now 
in  actual  operation. 

There  are  at  the  present  time  two  Mexican  railways 
that  approach  the  Guatemala  frontier,  one  of  which  runs 
from  Pueblo  to  Oaxaca  on  the  Pacific  slope,  and  which 
would  require  an  extension  of  400  miles  in  order  to  reach 
said  frontier;  and  the  other  which  extends  from  Cordoba, 
a  town  situated  on  the  line  of  the  Veracruz  Railway  on 
the  mountain  range  that  slopes  toward  the  Gulf  of  Mexico. 
In  addition  to  the  lines  mentioned  there  are  other  rail¬ 
roads  in  course  of  construction  that  will  connect  with  the 
Interoceanic  Railroad  of  the  Isthmus  of  Tehuantepec, 
and,  what  seems  to  be  of  still  greater  importance  in  this 
connection,  the  Mexican  Government  has  granted  a  con¬ 
cession  carrying  with  it  liberal  subsidies  for  the  construc¬ 
tion,  within  a  period  of  two  years,  of  a  railway  which, 
starting  from  the  Isthmus  as  a  branch  of  the  Interoceanic 
Railway  referred  to,  will  extend  to  the  boundary  line  of 
Guatemala. 

This  new  development  of  railways  in  Mexican  territory 
having  been  accomplished,  the  greatest  of  the  difficulties 
in  extending  the  Intercontinental  Railroad  will  have  been 
overcome  by  connecting  the  railway  lines  of  the  Central 
American  States,  several  sections  of  which  can  be  utilized 
for  the  main  line. 


8 


It  will  be  sufficient  to  observe  in  this  connection  that 
of  the  1,107  miles  that  a  route  on  the  Pacific  side  will 
have  to  cover  in  Central  America  from  the  Mexican  to 
the  Colombian  frontier  there  are  now  constructed  and 
in  operation  21 1.3  miles  of  track,  particularly  in  Salvador 
and  Nicaragua,  where  the  longest  railroad  lines  follow  in 
the  greater  part  of  their  course  a  direction  generally 
parallel  to  that  of  the  coast. 

In  Guatemala  there  is  a  railroad  extending  from  the 
port  of  Ocos  to  the  village  of  Ayutla  near  the  Mexican 
frontier,  and  the  lines  constructed  in  this  and  the  other 
Central  American  Republics  aggregate  a  little  less  than 
1,000  miles,  viz. : 


Guatemala .  342 

Salvador .  132 

Honduras .  50 

Nicaragua .  176 

Costa  Rica .  222 


But  in  Costa  Rica,  Guatemala,  and  Honduras  the  prin¬ 
cipal  railway  lines  follow  a  transverse  direction,  because 
they  run  from  the  interior  to  the  ports.  Nevertheless, 
branch  lines  are  being  constructed  in  the  three  countries 
mentioned  which,  within  a  short  time,  will  not  only  be 
able  to  add  considerable  length  to  the  part  of  the  system 
already  completed,  but  will  also  insure  in  this  manner 
the  guaranty  of  success  for  an  Intercontinental  Railway 
by  the  consequent  increase  of  traffic  that  will  always 
result  from  the  greater  number  of  their  connections. 

Such  favorable  conditions  did  not  exist  in  Mexico  when 
the  construction  of  the  first  railway  between  the  United 
States  and  that  Republic  was  projected.  The  under¬ 
taking  was  not  favored  by  the  public,  because  it  was 


*  Since  that  time  considerable  progress  has  been  made  in  the 
extension  of  the  railroad  lines  in  Costa  Rica,  Guatemala,  Nicaragua, 
and  Salvador. 

The  Guatemalan  railway  to  Puerto  Barrios,  on  the  Caribean  Sea, 
runs  so  near  the  Salvadorean  frontier  that  very  soon  the  two  countries 
will  connect  their  lines,  thus  aiding  in  a  most  substantial  way  the 
progress  of  the  Central  American  railway. 


9 


thought  that  it  would  not  be  profitable,  and  to-day — 
twenty  years  having  scarcely  elapsed — there  are  three 
railway  lines  in  constant  operation,  fed  by  the  growing 
commerce  between  the  two  nations.  These  iron  high¬ 
ways,  as  a  natural  consequence,  promote  the  mutual 
development  of  interests,  and  encourage  at  the  same  time 
the  construction  of  other  railways  with  which  they  will 
connect.  There  is,  then,  no  reason  to  doubt,  in  view  of 
these  premises,  which  are  palpable  facts,  that  the  exten¬ 
sion  of  railways  to  the  south  will  produce  equally  as  good, 
if  not  better,  results  to  capital,  exclusive  of  the  beneficent 
moral  influence  they  will  exert  on  the  future  of  the  nations 
of  this  continent. 

The  realization  of  the  plan  for  uniting  the  two  great 
oceans  by  a  canal  across  the  Central  American  isthmus 
between  Costa  Rica  and  Nicaragua  seems  near  at  hand, 
and  if,  as  it  is  reasonable  to  hope,  the  execution  of  the 
same  is  speedily  decided  upon,  the  northern  section  of 
the  Intercontinental  Railway  will  thereby  greatly  increase 
in  importance. 

At  the  Second  International  Conference  held  in  Mexico 
fronU  October,  1901,  to 'January,  1902,  it  was  resolved  to 
ratify  the  resolutions  of  the  First  Conference,  held  in 
Washington,  and  to  recommend,  among  other  things, 
that  the  Government  of  the  United  States  of  America 
initiate,  by  means  of  the  diplomatic  representatives  of 
the  American  Republics  accredited  in  Washington,  the 
measures  most  appropriate  for  the  sending,  within  a  year, 
of  commissioners  to  report  upon  the  railways  already 
completed,  and  the  concessions  that  the  respective 
Governments  will  grant  for  the  construction  of  a  con¬ 
tinental  railway. 

At  the  present  time  this  idea  is  greatly  favored,  and  it 
can  be  expected  that  with  a  new  impulse  it  will  soon 
become  an  accomplished  fact. 

May  it  be  so  for  the  welfare  of  the  American  Republics. 
Washington  D.  C.,  April ,  1902 


, 


. 

' 


DEDICATED 

TO  THE  MEMORY  OF 


DON  GUILLERMO  NANNE 

AS  THE 


PATHFINDER  OF  THE  CENTRAL  AMERICAN  RAILWAYS 
AND  TO  HIS  NOBLE  CHARACTER 


12 


OUR  DUTY  TOWARDS  CENTRAL  AMERICA. 

At  every  recurring  family  quarrel  taking  place  regularly 
within  relatively  short  periods  among  our  Central  Ameri¬ 
can  friends  and  neighbors,  the  question  “What  is  to  be 
done  with  Central  America  ?  ’  ’  presents  itself  to  the  average 
observant,  thinking  American,  and  no  satisfactory  solu¬ 
tion  of  the  problem  can  be  found  in  any  utterings  of  the 
country’s  press. 

To  be  sure,  a  Central  American  Union  or  Confederation 
suggests  itself  immediately,  in  considering  the  question, 
as  the  only  rational  remedy  to  be  sought  to  apply.  There 
is  no  dispute  about  the  correctness  of  this;  every  one 
admits  it,  even  the  Central  American,  be  he  a  dweller  in 
Guatemala  or  Costa  Rica,  in  Salvador,  Nicaragua  or 
Honduras.  Yes,  it  is  safe  to  assume  that  the  highly 
patriotic  desire  to  bring  about  such  a  confederation  has 
been  the  secret  driving  spring  of  many  of  the  fraternal 
conflicts  which  have  been  witnessed  for  the  last  seventy- 
five  years. 

Why,  then,  do  the  many  attempts  to  establish  a  Central 
American  Union  prove  such  abortive  failures? 

It  is  because  they  have  their  origin  in  the  ambitious 
spirit  of  some  particular,  limited  locality,  for  the  com¬ 
plete  domination  of  the  whole;  the  other  localities  resent 
this  and  the  result  is  strife  and  ultimate  failure.  It  is 
because  the  proper  foundation  is  lacking  whereon  a  Union 
edifice  may  be  constructed  and  rest  secure  against  the 
undermining  influences  of  local  dissensions.  This,  then, 
is  the  first  duty  of  the  architect  who  would  undertake 
to  construct  a  Union  out  of  the  five  separate  common¬ 
wealths  in  Central  America. 

It  is  the  object  of  this  paper  to  point  out  how  such  a 
foundation  may  be  constructed  on  lines  which  are  in 


13 


keeping  with  the  traditions  and  avowed  policy  of  the 
United  States  Government. 

There  is  nothing  new  in  the  proposition;  in  fact,  the 
ground  has  already  been  cleared  and  the  outlines  of  the 
foundation  traced  out,  and  even  the  excavation  for  it 
started  by  one  of  the  foremost  architects  of  his  time  in 
that  line,  the  late  Hon.  James  G.  Blaine. 

It  is  entirely  proper,  and  the  present  time  a  fitting 
opportunity  for  the  constructive  activity  of  our  adminis¬ 
tration  at  Washington,  that  this  work  of  laying  the 
foundation  for  a  Central  American  Union  be  resumed 
and  brought  to  completion. 

There  can  be  no  question  that  the  establishment  of  a 
“Community  of  Interest”  among  the  five  commonwealths 
of  Central  America,  something  which  is  tangible  to  the 
paramount  interest  of  each  and  every  one  of  them,  would 
offer  the  best  foundation  possible  for  a  Union. 

It  is  only  necessary  to  point  to  the  project  of  an  Inter¬ 
continental  Railway  to  see  how  readily  in  connection 
therewith  such  a  “Community  of  Interest”  may  be 
established.  A  line  of  railways  constructed  on  the  loca¬ 
tion  of  the  Intercontinental  Railway  project  extending 
from  Mexico  through  Central  America,  having  for  its 
southern  terminal  the  City  of  Panama,  would  establish 
an  all-rail  communication  from  the  United  States  to  the 
Panama  Canal;  certainly  a  desirable  line  to  have  from 
whatever  standpoint  it  may  be  contemplated.  And  if 
this  railway  line  is  controlled  by  one  corporation  (Ameri¬ 
can),  in  the  management  of  which  each  one  of  the  five 
Central  American  commonwealths  would  have  an  active 
interest,  it  would  certainly  form  a  naturally  broad  and 
firm  foundation  on  which  the  Confederation  would  surely 
grow  up  spontaneously  and  rest  securely  for  all  time  to 
come.  It  would  not  only  establish  a  community  of 
interest  among  the  Central  American  Republics,  but  it 
would  include  in  this  community  the  United  States  and 
Mexico  as  well. 


14 


A  practical  line  and  method  of  procedure  for  the  accom¬ 
plishment  of  the  object  in  view  is  suggested  in  the  several 
paragraphs  following: 

First.  A  company  to  be  organized  under  the  laws  of 
the  United  States  for  the  purpose  of  establishing  a  through 
rail  communication  from  the  southern  boundary  line  of 
Mexico  across  the  countries  of  Guatemala,  El  Salvador, 
Honduras,  Nicaragua,  Costa  Rica,  and  part  of  Panama 
to  the  City  of  the  same  name. 

Second.  The  company  to  recognize  and  accept  as  the 
guiding  spirit  in  shaping  its  policy  the  general  principles 
recommended  by  the  Committee  on  Railway  Communi¬ 
cations  in  their  report  to  the  International  American 
Conference,  and  accepted  by  that  body  at  a  meeting  held 
in  the  city  of  Washington  on  the  26th  day  of  February, 
1890. 

These  general  principles,  as  far  as  they  represent  a 
living  force,  are  for  convenience  sake  here  reproduced  as 
follows : 

“  1  st.  That  a  railroad  connecting  all  or  a  majority  of 
the  nations  represented  in  this  conference  will  contribute 
greatly  to  the  development  of  cordial  relations  between 
said  nations  and  the  growth  of  their  material  interests. 

“  5th.  That  the  railroad,  in  so  far  as  the  common  inter¬ 
est  will  permit,  should  connect  the  principal  cities  lying 
in  the  vicinity  of  its  route. 

“6th.  That  if  the  general  direction  of  the  line  cannot 
be  altered  without  great  inconvenience,  for  the  purpose 
mentioned  in  the  preceding  article,  branch  lines  should 
be  surveyed  to  connect  those  cities  with  the  main  line. 

“  7th.  That  for  the  purpose  of  reducing  the  cost  of  the 
enterprise,  existing  railways  should  be  utilized  as  far  as 
practicable  and  compatible  with  the  route  and  conditions 
of  the  Continental  Railroad. 


15 


“8th.  That  in  case  the  results  of  the  survey  demon¬ 
strate  the  practicability  and  advisability  of  the  railroad, 
proposals  for  the  construction  either  of  the  whole  line  or 
sections  thereof  should  be  solicited. 

“9th.  That  the  construction,  management  and  opera¬ 
tion  of  the  line  should  be  at  the  expense  of  the  conces¬ 
sionaires,  or  of  the  persons  to  whom  they  sublet  the  work, 
or  transfer  their  rights  with  all  due  formalities,  the  con¬ 
sent  of  the  respective  Governments  being  first  obtained. 

“  10th.  That  all  materials  necessary  for  the  construc¬ 
tion  and  operation  of  the  railroad  should  be  exempt  from 
import  duties,  subject  to  such  regulations  as  may  be 
necessary  to  prevent  the  abuse  of  this  privilege. 

“nth.  That  all  personal  and  real  property  of  the 
railroad  employed  in  its  construction  and  operation 
should  be  exempt  from  all  taxation,  either  national, 
provincial  (state),  or  municipal. 

“  12th.  That  the  execution  of  a  work  of  such  magni¬ 
tude  deserves  to  be  further  encouraged  by  subsidies, 
grant  of  land,  or  guarantees  or  a  minimum  of  interest. 

5{C  *  * 

“  14th.  That  the  railroad  should  be  declared  forever 
neutral  for  the  purpose  of  securing  freedom  of  traffic. 

“  15th.  That  the  approval  of  the  surveys,  the  terms 
of  the  proposals,  the  protection  of  the  concessionaires, 
the  inspection  of  the  road,  the  legislation  affecting  it, 
the  neutrality  of  the  road,  and  the  free  passage  of  mer¬ 
chandise  in  transit,  should  be  (in  the  event  contemplated 
by  Article  8th),  the  subject  of  special  agreement  between 
all  the  nations  interested.” 

(Articles  Nos.  2,3,4,  13  and  16  are  omitted  in  the  above 
for  the  reason  that  the  object  to  which  they  refer,  i.  e. . 
the  preliminary  surveys,  has  been  carried  out  and  accom¬ 
plished,  which  makes  them  at  this  date  a  dead  letter.) 

Third :  The  company  to  acquire  control,  either  by 
lease  or  purchase,  of  all  such  existing  railway  lines  which 


16 


will  become  parts  of  the  main  trunk  line  of  the  Inter¬ 
continental  Railway. 

Fourth:  The  company  to  construct  such  additional 
new  parts  of  the  proposed  railway  system  as  are  necessary 
for  the  accomplishment  of  the  object  in  view.  The 
surveys  heretofore  made  under  the  direction  of  the  Inter¬ 
continental  Railway  Commission  to  form  the  basis  for 
future  operations  in  this  direction. 

Fifth:  The  Governments  of  the  countries  named  in 
Paragraph  No.  i  to  grant  the  necessary  and  usual  con¬ 
cessions  to  the  Railway  Company,  embodying  the  free 
right  of  way  through  public  lands,  for  the  construction 
of  the  new  parts  of  the  railway  through  their  respective 
territories. 

Sixth:  The  said  Governments  to  give  further  material 
aid  for  the  construction  of  such  new  lines  in  the  shape 
of  subsidies  and  grants  of  land;  in  return  for  which  the 
Railway  Company  to  issue  in  favor  of  each  corresponding 
Government  a  proportionate  amount  of  its  capital  stock, 
all  as  may  be  mutually  agreed  upon. 

Seventh:  The  Government  of  the  United  States  to 
assure  the  prompt  carrying  through  of  the  enterprise 
by  guaranteeing  a  reasonable  minimum  of  interest  on  the 
capital  invested  in  the  enterprise. 

Eighth:  Each  of  the  aforesaid  Governments  to  have 
the  right  to  name  one  representative  in  the  Board  of 
Directors  of  the  Railway  Company.  Such  representative 
to  receive  a  fixed  annual  salary  to  enable  them  to  make 
their  residence  within  easy  access  of  the  place  of  meeting. 

Ninth:  The  principal  office  of  the  Railway  Company 
to  be  located  in  the  United  States  at  a  point  in  accordance 
with  the  requirements  of  its  charter. 

A  Vice-President  of  the  Railway  Company,  who  shall 
also  be  the  General  Manager,  to  have  offices  and  resi¬ 
dence  at  some  convenient  city  in  Central  America,  with 
sub-offices  at  the  seat  of  Government  of  each  of  the 
countries  traversed  by  the  railway. 


17 


Tenth:  The  initial  steps  for  the  enlistment  of  the 
co-operation  of  all  the  countries  interested  in  the  reali¬ 
zation  of  the  project,  should  be  taken  jointly  by  the 
Government  of  the  United  States  and  that  of  Mexico. 

To  show  the  financial  requirements  for  the  realization 
of  the  project,  the  following  table,  furishing  certain  data 
taken  from  the  Reports  of  the  Intercontinental  Railway 
Commission,  is  given: 


INTERCONTINENTAL  RAILWAY— CENTRAL  AMERICAN  DIVISION 


Miles 

Location.  to  be 

built,  built. 

Across  Guatemala: 

Ayutla  to  Caballo  Blanco .  26.2 

Caballo  Blanco  to  Santa  Maria .  84.1  . 

Santa  Maria  to  Rio  Paz .  60.5 

Total .  84.1  86.7 

Across  Salvador: 

Rio  Paz  to  near  Acajutla .  26.5 

Near  Acajutla  to  San  Salvador .  64.0  . 

San  Salvador  to  San  Vicente .  42.2 

San  Vicente  to  San  Miguel .  62.0 

San  Miguel  to  Rio  Guascoran .  36.1 

Total .  64.0  166.8 

Across  Honduras: 

Rio  Guascoran  to  Rio  Negro .  71.7 

Across  Nicaragua: 

Rio  Negro  to  Chinandega .  38.0 

Chinandega  to  Granada  .  103 .4  . 

Granada  to  Pena  Blanca .  68.3 

Total .  103.4  106.3 


Cost  for  Grad¬ 
ing,  Masonry 
and  Bridges. 

$324,518 

893,536 


255,196 


Li57,433 

793,104 

781,901 

13,987,634 


,108,697 

598,960 

907,390 


Average 

cost 

per  mile. 
$12,386 

14,769 


$1,228,054  14,164 


9,630 


51,124 

I2,792 

21,659 

23,907 

15,463 

15,762 

13,285 


$1  506,350  14,170 


Across  Costa  Rica: 

Pena  Blanca  to  Liberia . 

Liberia  to  Boca  Savegre 
Boca  Savegre  to  Rio  Golfito 

Total . 

Across  part  of  Panama: 

Rio  Golfito  to  David . 

David  to  City  of  Panama . .  . 


.  52.5 

1,167,430 

22,237 

.  157-5 

3,820,000 

24,254 

.  1500 

3,353,487 

22,356 

.  360.0 

$8,340,917 

23,169 

.  59-6 

955,353 

16,029 

.  274.4 

4,657,280 

17,009 

.  334-0 

$5,612,633 

16,804 

251-5  1,125.5 

$20,784,285 

18,467 

Total 


18 


By  deductions  from  the  data  in  the  table  the  salient 
features  of  the  project  will  appear  as  follows : 

Total  length  of  railway  line  from  the  southern  boundary 
of  Mexico  to  the  City  of  Panama  will  be  1,377  miles,  of 
which  251.5  have  been  built  and  1,125.5  are  to  be  built. 

The  cost  of  the  new  construction  of  the  railway  line 
is  estimated  by  the  Commission’s  engineers  for  grading, 
masonry  and  bridges  at  $18,467.00  per  mile.  This  figure 
should  be  augmented  by  about  12 J  per  cent,  to  cover 
contingent,  engineering  and  administrative  expenses, 
which  would  bring  the  average  cost  in  round  numbers 
to  $21,000.00  per  mile. 

Adding  for  cost  of  superstructure,  full  equipment,  and 
rolling  stock  the  sum  of  $19,000.00  per  mile,  we  get  the 
entire  cost  of  the  new  construction  to  be  $40,000.00 
per  mile. 

The  total  cost  of  the  project  will  then  be  as  follows : 

1 125. 5  miles  new  construction  at  $40,000 .  $45,020,000.00 

1 30  miles  of  sidings  at  $20,000 .  2,600,000 . 00 

Widening  the  gauge  of  present  constructed  lines  to  standard  gauge, 

251.5  miles  at  $10,000 .  2,515,000.00 

Total  cost  of  main  line .  $50,135,000.00 

In  addition,  two  branch  lines  should  have  to  be  con¬ 
structed,  one  in  Honduras  to  connect  with  the  capital, 
Comay agua,  length  75  miles,  and  the  other  in  Costa  Rica 
to  connect  with  the  existing  railway  line  at  Alajuela, 
which  connects  with  the  capital,  San  Jose,  the  length  of 
which  will  be  about  25  miles,  making  in  the  aggregate 
100  miles  more.*  The  construction  of  these  branch  lines 
would  have  to  be  estimated  at  an  average  cost  of  $65,000 
per  mile,  owing  to  the  more  difficult  character  of  the 
country  encountered  in  ascending  the  slopes  of  the  moun- 


*  As  regards  Costa  Rica,  it  is  to  be  observed  that  the  construction  of 
the  railroad  from  San  Jose,  the  Capital,  to  Puntarenas,  on  the  Pacific 
coast,  is  now  almost  finished,  and  that  in  a  few  months  traffic  will  be 
opened  thereat,  thus  completing  the  Costa  Rican  Interoceanic  Railway 
between  said  port  of  Puntarenas  and  Port  Limon,  on  the  Caribean  Sea. — 
J.  B.  C. 


19 


tain  plateaus  on  which  these  cities  are  located.  This 
will  swell  the  total  amount  of  capital  required,  in  round 
numbers,  to  $56,000,000.00. 

The  Pacific  slope  of  Central  America  embraces  within  its 
confines  some  of  the  best  and  richest  agricultural  lands 
of  the  Continent  north  of  the  Isthmus  of  Panama.  It  is 
here  where  most  of  the  coffee,  sugar-cane  and  cocoa 
plantations  of  the  Central  American  countries  are  located ; 
where  these  products  are  grown  to  the  greatest  perfection. 
It  is  here  where  the  fountain  of  all  wealth  of  these  countries 
is  located.  This  “  Coffee  Zone,”  as  it  is  generally  known, 
occupies  the  Pacific  slope  of  Cordilleras  between  eleva¬ 
tions  of  1,000  to  5,000  feet  above  sea  level.  It  reaches 
its  greatest  width  and  unbroken  continuity  through  the 
western  part  of  Guatemala,  where  the  belt  is  about  70 
miles  wide,  extending  well  into  the  Mexican  State  of 
Chiapas.  Through  the  eastern  part  of  Guatemala, 
Salvador,  Honduras,  Nicaragua  and  Costa  Rica,  the  belt 
which  diminishes  and  varies  in  width  is  less  continuous, 
somewhat  broken  by  outrunners  from  the  Cordilleras, 
which  show  more  of  an  arid  character ;  however  its  many 
valleys  possess  all  the  richness  of  soil  and  climate  of  the 
“Costa  Cuca”  in  western  Guatemala.  It  is  through  this 
Zone  or  rather  at  the  foot  of  which  the  proposed  railway 
line  has  been  located  by  the  Intercontinental  Railway 
Commission.  With  the  intercommunication  which  this 
line  would  afford  throughout  the  length  of  this  Zone, 
there  is  sufficient  traffic  in  sight  from  local  sources 
(short  haul  freight  and  passengers)  to  sustain  the  life 
of  the  railway  with  decided  healthful  vigor  from  the  very 
start,  leaving  alone  any  through  traffic  which  will  surely 
more  or  less  develop  from  the  United  States  and  Mexico 
to  the  Canal  Zone.  The  further  development  of  the 
great  natural  resources,  not  only  of  the  “Coffee  Zone,” 
but  of  the  whole  Central  American  territory,  which  will 
surely  follow  the  opening  of  this  line,  will  insure  its  pros¬ 
perity  in  the  near  future  beyond  adventure. 


20 


More,  the  Intercontinental  Railway  of  Central  America 
will  be  the  key  to  unlock  the  gates  of  the  hidden  treasure 
house,  which  nature  has  so  lavishly  provided  with  the 
products  of  a  most  favored  zone. 

In  conclusion,  the  writer  would  touch  upon  another 
feature,  inherent  to  the  project  and  capable  of  being 
developed  into  an  exceedingly  strong  characteristic  of 
the  undertaking. 

It  is  this:  The  line  of  the  projected  railway  lies  along 
the  foot  of  the  Pacific  slope  of  the  Central  American 
Cordilleras.  In  its  course  it  traverses  numerous  streams 
which  are  fed  from  the  high  plateaus  of  the  Cordilleras. 
The  more  important  of  these  streams  which  are  crossed 
at  short  intervals  will  furnish  an  abundance  of  electric 
power,  not  only  sufficient  to  operate  all  railroads  existing 
and  to  come,  but  to  furnish  light  and  power  for  every 
conceivable  and  needful  purpose  in  these  countries. 

From  the  moment  that  a  company  composed  of  the 
right  elements  for  the  purpose  in  view  is  organized  and 
negotiations  begun,  all  fraternal  strife  between  the  five 
Central  American  Republics  would  cease,  their  attentions 
would  be  directed  by  their  larger  sisters  of  the  north  to  a 
rising  dawn,  promising  to  shed  its  golden  light  in  common 
over  all.  During  the  construction  of  the  road  their 
surplus  energy  would  be  attracted  and  employed  in  a 
work  of  common  interest  to  all.  At  the  conclusion  of 
the  work  and  the  opening  of  the  road  there  will  be  general 
manifestations  of  congratulations  and  good  cheer  and 
good  will  towards  each  other.  Once  the  railway  line  as 
a  whole  is  in  active  operation,  the  practical  unification 
would  be  an  accomplished  fact. 

The  steel  rails  of  such  a  line  would  indeed  be  veritable 
bands  of  steel  holding  together  with  an  unremitting  grip 
the  five  Central  American  States  into  one  of  Unity,  as 
compared  with  the  fasciated  bundle  of  slender  rods  with 
the  battle  axe,  popularly  accepted  as  the  emblem  of  the 
ancient  device  of  ‘  ‘ In  Union  there  is  strength 


21 


Our  own  interest  at  Panama,  in  opening  new  and 
extending  old  trade  channels  in  the  existence  of  peaceful 
and  stable  conditions  in  Central  America,  combined  with 
our  duty  towards  common  humanity,  demands  that  the 
construction  of  this  first  section  of  the  Intercontinental 
Railway  be  taken  in  hand  at  once.  The  present  time 
seems  opportune  indeed  for  the  initial  move  for  the  ac¬ 
complishment  of  the  project;  its  realization  would  cer¬ 
tainly  write  another  chapter  in  the  history  of  practical 
achievements  towards  the  goal  of  Pan-Americanism. 

THEODORE  PASCHKE, 

M.  A.  Soc.  C.  E. 

New  York,  April ,  1907. 


1 


301 12  1060771  on 


.i ft 

I 


PRESS  OP  W.  P  ROBERTS  C'. 

WASHINGTON,  0.  C. 


